25
Jul
Many renting 'as economy takes its toll'
The credit crunch has meant that more people are now opting to rent
properties rather than purchase them, a new report from Your Move
has revealed.
According to the company, between May and June the amount of
commenced leases grew by three per cent as economic conditions
barred first-time buyers from buying their own home.
Moreover, it stated, year-on-year the popularity of renting
increased by 38 per cent because those searching for new homes
changed their minds.
David Newnes, managing director at Your Move, remarked that there
is currently great potential for buy-to-let investors to take
advantage of this trend.
"Opportunities to invest are ripe for professional landlords able
to secure financing. With rising tenant demand comes rising rents -
buy-to-let yields will consequently improve," he commented.
Additionally, he explained that it is now harder for people to
obtain credit because of tightened lending criteria.
The Chartered Institute of Housing recently said that young people
in the south-east believe it is difficult to get on the property
ladder.